C-250 Reimbursement of Relocation Expenses

This Policy provides a standard procedure for newly hired full-time Employees' relocation within the college's District. Under the general provisions of this Policy, the newly hired Employee will enter into a written relocation and repayment agreement. The provisions of this Policy will apply only to work assignments and relocations planned to exceed 12 months.

The College will reimburse reasonable amounts or provide advance assistance for expenses incurred because of the relocation of newly hired full-time Employee for distances that exceed 50 miles from their current residence to the District of the College.

The College will audit expenses against relocation agreements, and Employees must document receipted expenses claimed for reimbursement.

Any request to exceed the provisions of the standard relocation policy (outlined below) must be approved by the Executive Director of Human Resources/CHRO and the College President/District Director.

All relocation expenses must be incurred and submitted for reimbursement within 180 days of the date the written Relocation and Repayment Agreement is signed. Expenses incurred after this period will not be reimbursed. Some expenditures will be paid directly by the College to the vendor. For all other reimbursement expenses, the Employee must obtain receipts for acquired expenses and submit them along with college reimbursement request forms.

APPROVED EXPENSES – STANDARD AGREEMENT

• Per Diem and Lodging: The College will reimburse costs for per diem living expenses to include temporary lodging for eligible Employees and dependents for a period not to exceed 30 days.

• Site Visit: An Employee and spouse will be reimbursed for travel, per diem, and lodging costs to the planned relocation area to look for appropriate housing. The maximum site visit period permitted is three (3) days.

Transportation/Employee/Dependents: Costs for relocation travel of the Employee and dependents to the new location will be reimbursed. Travel noted above will be utilizing the most cost-effective common transport carrier using coach fare; however, in many cases, personal vehicles may be the preferred means of travel. Mileage reimbursement will be reimbursed at the standard IRS mileage rate.

• Household Goods: The College will pay actual costs for packing, moving, and insuring household goods and personal effects up to 14,000 pounds from departure to arrival. If storage of goods is required, the College will pay for up to 30 days of storage.

The Employee should separately insure or transport any property of unique value, such as art objects, paintings, jewelry, firearms, precious metals, and antiques.

The College will not pay for the transportation of boats, recreational vehicles, firearms, special machinery, outdoor playground equipment, hot tubs, and other specialty items of a similar nature. 

Small domestic pets, such as dogs, cats, etc., can be transported and boarded in the district. The College will reimburse the costs associated with such transportation and Board for a period not to exceed 30 days.

• Miscellaneous Household Fees: The College will pay the cost of appliance installation, utility installation fees, re-registration of personal vehicles, and driver's licenses up to a maximum of $1,000.

REPAYMENT PROVISION

Suppose the Employee resigns within 24 months of their employment start date due to circumstances within their control as determined by the College. In that case, the Employee agrees to and will be subject to repayment of their reimbursed relocation expenses.

TAX CONSIDERATIONS

Per the 2017 Tax Cuts and Jobs Act, beginning the tax year 2018 through 2025, moving expense reimbursements are not excludable from wages and are considered compensation for employment tax purposes. Any reimbursement received will be added to the Employee’s W-2 as taxable income.

REIMBURSEMENT MAXIMUMS

This Policy provides financial assistance to offset the expense of relocating for a new employment opportunity. The relocation reimbursement allowance is capped at 5% of the Employee’s first-year annual wage. The maximum reimbursable amount is outlined in the written Relocation and Reimbursement Agreement.